Productivity
And the Game Of Enterprise
Written
& Copyrighted by Richard Paris Borough, Ph.D.
Recently I've been thinking about management's number one
obligation. It seems to me that management number one obligation
is to win the Game of Enterprise. And to win that game, management
must do whatever it takes to maximize productivity for all
players on the team. This may sound rather obvious but Im
a plain thinking guy. Of course, the question is, how best
to do this, how to maximize productivity and keep productivity
humming along smoothly. So here are some of my thoughts starting
with some Big True Facts about life and business-life.
Human life cannot long exist without constant nourishment
in the form of food, clothing, shelter, and a few key psychological
necessities like: meaning, accomplishment, self-worth, love,
and friendship. Constant nourishment is the lifeblood of a
human.
Business life also cannot long exist without constant nourishment
in the form of sales, gradual continuous improvement, earnings,
and a few psychological necessities like: purpose, motivation,
loyalty, and, of course, productivity. Productivity can be
expressed as a ratio of investment to profits. You invest
time, energy, and resources and the profits you reap are wealth
and satisfaction. As it is with humans, constant nourishment
is also the lifeblood of business.
Now it's no secret that to play the Game of Enterprise well,
management and employee skills must be honed to a high enough
degree that they consistently maximize productivity for everyone.
No kidding! Here's another Big True Fact. In today's demanding
business world, those who manage by the seat of their pants
often end up on the seat of their pants. There's a right way
and there are many wrong ways to manage.
If you're a manager, to mange the right way, to maximize productivity
at your place of business, so the work experience will give
you more life--you, and all the people on your team need to
be concentrating on a few key things. Your plans and goals
need to be attached to strategies that will work. You need
to systemize all routine business operations like marketing,
sales, workflow, personnel management, and money management,
so these operations will run almost automatically and will
consistently produce desirable, predictable results.
You need to focus on your top money making activities, and
get a lot of important things done, by minimizing distractions
and by delegating everything but your genius, which of course,
you keep.
Your people need to know where the boundaries are on your
field of play. They need to know how to play the Game of Enterprise
at your workplace. You need to keep score, and to check the
score frequently enough to always know where you are, and
what to do next. Scorekeeping is a vital ingredient in management.
Minimum performance standards for the tasks that bring in
the business, get the work done, and make the money, need
to be established.
It should be possible for all employees to calculate their
own batting average on those key tasks so they can instantly
know whether they are winning, or loosing, and by how much.
When people know the score, if they're behind, if their performance
falls below the minimum performance standard (MPS) they can
work smarter to catch up. As managers, you can help by coaching
them back up to par, and you'll either get them back to the
minimum standard or you'll have to trade them for other perhaps
more skilled, more trainable, or more willing team members.
And when your people are working above par, that is, exceeding
the MPS, you need to take notice of their accomplishment,
and reward them immediately, right on the spot. So, scorekeeping
is more than a good idea in business, it's a necessity that
makes a lot of sense.
And last but not least, you'll probably need to do this key
thing. Find a way to significantly increase the level of energy
and enthusiasm both you and your people invest in work, and
keep it high. In as many ways as you can thinks of, you'll
probably want to learn how to make your work more like play
or recreation because people love to play and they naturally
bring lots of enthusiasm to their play. In the Game of Enterprise,
the ultimate victory is attained by playing at your very best.
So, the message here is clear enough. If you really and truly
want your business to give you more life, you must become
more productive. Period! There's no other way. And its
helpful to have these questions at your fingertips: How much
more productive could you and your people be right now? In
dollar terms, what would that extra productivity mean to the
business? To you personally? If your business were already
significantly more productive, running like a fine Swiss watch,
how much more worry free time off could you routinely take?
How much earlier might you be able to retire?
These are good questions to ask once in a while, dont
you think? Yeah, they are!
Now let's look as what productivity does, and what productivity
demands. What productivity does is simple. Productivity creates
earnings. That's it. If productivity is in trouble, earnings
are in trouble. No rocket science thinking or MBA needed to
understand this Big True Fact is there! No.
And of course, productivity demands a few things. The creation
of quality, value and benefit. Time and energy management.
Strategic planning. Accountability. Clear focus on money making
activities. Getting the right things done right the first
time and every time and on time and on budget and with as
much joy as possible for all concerned. Motivation and loyalty.
Gradual, and continuous improvement. And measurable progress
in reasonable time.
Now I've kind of hinted at this, but I should give you the
official definition of productivity. Productivity means the
degree to which the people, or a specific person, meets or
exceeds the minimum performance standards for their job or
a portion of their job. Obviously, clearly delineated and
widely understood MPSs are inherent in this definition. People
need to know the MPSs.
And tens of thousands of people at work all over the planet
do not know the MPSs for their jobs, because
no one has
ever told them. And this isnt easy to do. Establishing
MPS and communicating them in an understandable way can be
tough.
The first trick is in defining and expressing the MPS in behavioral
terms. And the second trick is in measuring the individual
behaviors that relate to those MPSs.
But again folks, Big True Fact: business life cannot long
exist without the lifeblood nourishment of productivity. Productivity
is what the Enterprise Game is about.
As managers playing the Game of Enterprise, what's the main
thing we need to do? Whether it's managing just ourselves,
or managing a group of people, a task, or group of tasks,
in order to succeed we need to do the same single thing. We
need to get results. We need to get more value out than we
put in. We need to manage for maximum productivity.
Consistently managing for maximum productivity, and
prosperity,
happiness, and joy--as a manger/owner/operator, this is what
we want isn't it? Yes. Whether we started our business, bought
our business, inherited it, or are a dedicated employee of
a business, responsible for our own tasks and/or for the work
of others, no matter how we got our management responsibility,
we don't know everything about making all things for which
we are responsible run at its level best. We just don't. And
there are common sense reasons for this.
Unless we have a business degree, we did not go to school
to learn how to manage or run a business. We did not spend
several years studying business management in a formal academic
setting. If we're typical, weve never have taken a course
or even read even a single book on the subject.
So here we are with management responsibility, and truth is,
we don't know everything there about maximizing productivity,
ours, or anyone else's. And we cant take the time to
go to school now, because we're too busy working. And even
if we took a few classes, the knowledge we would get would
be limited and general in nature, it could well be out of
date, and may not be relevant to our particular circumstances
at all. So even armed with new knowledge, which we could get,
wed still have to adapt it to fit our situation. And
that's a big job in itself.
Now these little facts of life do not mean we're stuck or
that improvement is impossible by any means. Certainly, we
should constantly seek out new knowledge. In my opinion, life-long
learning is a necessity if we want to improve and keep up.
The trick is to make what we learn apply to our particular
set of circumstances. But that's a story for another time.
You
may use this article in whole or in part on your site as long
as you link back to Master-Mind
Alliance and give author credit.
Richard
Paris Borough, Ph.D. ,
is President of Strategic Business Development; a Humboldt
County, California based small business consulting firm. He
is director of The Master-Mind Alliance -- and also publishes
“Keys To A DONE BUSINESS” -- a monthly newsletter featuring
business management best practices.
E-mail Richard
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